Mexico challenged and won a ruling against the US at NAFTA's dispute settlement mechanism. Still, the US has been recalcitrant in striking down the offending ruling. The source of recent Mexican discontent was the discontinuation of a pilot programme allowing Mexican truckers to traverse the US as per the ruling. Up to now, the US has not addressed this issue with any vigour, prompting Mexico to retaliate by slapping tariffs on an even wider range of goods after imposing a number of them last year. From Dow Jones:
Mexico plans to add additional goods to a list of U.S. imports that face retaliatory tariffs in a long-standing dispute over access of Mexican trucks to the U.S. highways, Economy Minister Bruno Ferrari said Monday. At a news conference, Mr. Ferrari said Mexico will add 26 products to the original list of 89 and remove 16, bringing the total from 43 states to 99 goods with an estimated annual value of $2.5 billion to $2.6 billion.There have been weak suggestions that the ban would be lifted, but they have not come to pass, culminating in yet more tariffs to be announced soon. Is it sheer contempt for its trading partners that makes the US blind to their concerns, or is it simply a matter of forgetting to address trade matters given more pressing problems Stateside? Either way, it certainly doesn't look like a page taken from how to win friends and influence people.
Mexico imposed the tariffs in 2009 after the U.S. Congress removed funding for an 18-month-old pilot project to allow Mexican trucks into the U.S. under the North American Free Trade Agreement. Opposition from U.S. truckers has kept Mexican vehicles out of the U.S., even though access is included under the terms of the Nafta. Mr. Ferrari said that goods in question will be published this week in the government's Official Gazette, but declined to identify them.